South Australian Premier Mike Rann and Federal Minister for Defence Materiel Jason Clare today signed a land agreement that again reaffirms the multi-billion dollar Future Submarines will be assembled in Adelaide.

Mr Rann says the Memorandum of Understanding reinforces the Federal Government’s decision, as outlined in the 2009 Defence White Paper that commits to assembling Australia’s 12 new Future Submarines in South Australia.

“The State is working closely with the Defence Materiel Organisation to determine how best Techport Australia’s Common User Facility can support the project,” Mr Rann said.

“When we made the decision to develop and invest more than $300 million in the Common User Facility in 2005, we had always intended the precinct would be expanded.

“This is because we wanted to ensure Techport was capable of supporting future naval shipbuilding activity.

“This agreement signed today ensures that the Commonwealth’s Defence Materiel Organisation has first option over what happens to land adjacent to Techport.

“Strategically, this is an important move. The land immediately adjacent to Techport Australia has been identified as suitable for use in connection with the build or assembly of Australia’s Future Submarines.”

Minister for Defence Materiel Jason Clare said:

“This agreement assures the Commonwealth first access to about seven hectares of strategic land adjacent to Techport’s Common User Facility, for use by organisations directly involved with the Future Submarine Project.

“South Australia has a well-deserved reputation as the ‘Defence State’. It’s the home of submarine maintenance and the Air Warfare Destroyer project. It’s also where the next generation of submarines will be assembled.

“This agreement is another example of Premier Rann thinking ahead. It’s because of decisions like this that South Australia punches above its weight when it comes to Defence.”